TSX Venture Exchange: FRI
Shares Issued: 13,476,232
VANCOUVER, April 9 /CNW/ - Freeport Resources Inc. is pleased to give an overview of its Spanish Mountain Gold, Red Rose tungsten-gold mine, and Q fluorspar-molybdenum projects, all located in B.C.
Spanish Mountain Gold (SMG)
Freeport's work to date at the Spanish Mountain Gold (SMG) property has proven an easterly extension of the large mineralized zone on adjacent claims held by Skygold, less than 0.5 km (0.3 mi) from Freeport's boundary. To summarize, sampling has returned comparable values to Skygold's bulk mineable, road accessible deposit, where updated 43-101 estimates released last month outline 2.58 million ounces gold in the measured and indicated categories, based on a cut-off grade of 0.50 g/t. Skygold's mineralized zone has been greatly expanded from previous reports, and now measures about 1.5 km by 2 km (.9 mi by 1.2 mi). A 2008 B.C. Geological Survey paper on geochemistry of the Spanish Mountain deposit also shows very similar gold values as found at SMG. These developments are all very encouraging. An assessment report filed in March maintains SMG in good standing for 10 years.
Red Rose Mine
The Red Rose, a past-producing tungsten-gold mine in the prolific Rocher Deboule mining camp, continues to receive international interest. Freeport has been in recent discussions with parties from Asia, Australia, and Canada, regarding option agreements to outright sale of the 100% owned crown grants. Tungsten, a strategic metal, is one of few not significantly impacted by the market downturn. Red Rose has historical tungsten reserves (not NI43-101 compliant) in the lower levels nearer the valley floor, where gold values of up to 63.8 g/tonne have also been reported. Only a short segment of the extensive mineralized structure - over 400 metres (1312') in length - has been explored or subject to mining.
Q Fluorspar-Molybdenum (formerly Eaglet)
The Q is a complex deposit with several distinct types of mineralization which may increase the economic potential of the property. Previous work defined historical reserves (not NI-43-101) of 24 million tonnes with 11.5% of fluorite (also called fluorspar, or CaF(2)), widespread accessory celestite, silver (up to 62 g/tonne) and some recoverable galena and sphalerite. Further exploration has good potential to better outline the available resource. More recent data shows important molybdenite mineralization notably in Adit 2 and in many drill holes with up to 1284 ppm Mo locally reached (S111-85, at 28m or 91.8' depth).
Ongoing laboratory work strongly suggests carbonatite related mineralization in the deposit. This may partly explain some of its more unusual aspects, as well as revealing exciting new possibilities for economic mineralization not previously considered. The studies have determined an igneous source for celestite (a strontium mineral widespread at the Q), and significantly elevated niobium (837 ppm or 1197 g/t Nb(2)O(5)) in some randomly selected samples, and confirmed presence of pyrochlore (a niobium mineral). Rare earth minerals (such as bastnaesite, a REE carbonate) have also been found, further reinforcing the possibility of a carbonatite source.
The Q has value as a potentially large source (compared to most deposits) of acid grade fluorspar (CaF(2)) with co-product silver, lead and molybdenum. From an economic perspective, world shortages of supplies of acid-grade fluorspar are anticipated due to a rapid decrease in exports from China in recent years. As noted at the October Fluorspar08 conference, this is expected to attract fluorspar mining interests to BC.
Zdenek Hora, M.Sc. P.Geo., is the qualified person who has reviewed this release.
On an administrative note, the company plans to grant a total of 650,000 stock options to directors, officers, and consultants of the company at an exercise price of 10 cents, expiring April 9, 2014, under the terms of the 2004 Stock Option Plan. Grant of options is subject to approval by the TSX Venture Exchange.
Freeport Resources, founded in 1981, is a junior mineral exploration company listed on the TSX Venture Exchange. Freeport has landholdings in Labrador and B.C., with a special focus on industrial minerals, precious and base metals, and gemstones.
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